António da Conceição, member of the Finance Committee in the National Parliament of Timor-Leste, said on 31 August 2022, in Maputo, that he hopes that Mozambique will have a better experience in the creation and management of its sovereign wealth fund, taking into account that it will from the experience of others.
“I think that Mozambique is in a good phase because these meetings that we are having here, with the sharing of experiences, can serve to improve the process in Mozambique”, he said in an interview with the Coordination of the Program for Portuguese-speaking African Countries and Timor-Leste. East with the European Union (PALOP-TL/EU), on the sidelines of the IV High Level Working Group of the Parliamentary Budgetary Committees of the PALOP and East Timor, which took place from 29 to 31 August last, in Maputo, Mozambique. “I have a lot of hope that Mozambique will certainly be the best too”, he underlined.
Timor-Leste created its sovereign wealth fund in 2005, still in the early years of national independence. The law establishes that the Government may withdraw 3% of the fund to finance the General State Budget. “To withdraw more than 3%, there must be a justification from the Government, with the approval of the National Parliament”, he underlined.
It was thanks to the money from the fund that Timor-Leste was able to ensure electrification throughout the country and build national and transnational roads, said the source. Also with this funding, works are planned at the National Port and the expansion of the National Airport of Timor-Leste. “Therefore, the fund is being used to develop the country”, he said.
Regarding the meeting that ended recently, the deputy said that it was “very productive, very positive” and that the emotional connection of cultural and linguistic sharing allowed greater openness among the participants. “The two days were very useful for sharing very fruitful experiences and also with an openness of brotherhood and it is in this sense that I feel that these two days were very productive.” He stressed.
The meeting that ended on Thursday aimed to:
- Promote the exchange of experiences and learning among peers involving the Parliamentary Budgetary Committees of the PALOP and Timor-Leste (including Brazil and Portugal) and access to best practices in the field of budgetary legislative oversight;
- Familiarize parliamentarians and staff of PALOP-TL National Parliaments, in a context of south-south and triangular cooperation, with the challenges and opportunities for effective legislative oversight of sovereign wealth funds and the flow of capital they generate.
The meeting was organized by the Assembly of the Republic of Mozambique in partnership with UNDP/Pro PALOP-TL ISC Phase II.